COMMISSIONER OF CUSTOMS, COCHIN Vs. AFZAL AGENCY

JUDGEMENT

(1.) THE Revenue is aggrieved with the Order -in -Appeal No. 180/2003 -Cus., dated 27 -11 -2003 by which the Commissioner (Appeals) has modified the Order -in -Original by setting aside the imposition of redemption fine. The Revenue contends that the appellants had imported 53.79 MT of Dates of Iranian origin valued at Rs. 3,38,661/ -. On an analysis by the Port Health Officers, it was found that the imported dates did not conform with the existing food standards and had violated the provisions of Prevention of Food Adulteration Act, 1954. The dates were infected with insects, which was not disputed by the importer. In view of the violation of law, the original authority had confiscated the goods and had imposed fine. The Commissioner (Appeals), however set aside the same on the premise that once an order of re -export has been done, the question of imposition of fine does not arise.

(2.) WE have heard both sides in the matter.

(3.) THE learned SDR brought to our notice the Larger Benchs judgment rendered in the case of Hemant Bhai R. Patel v. CC, Ahmedabad - 2003 (153) E.L.T. 226 (Tri. - LB) wherein it has been held that when there is a violation of law, then the power to impose redemption fine as well as penalty is sustainable even if the authority has granted permission for re -exporting the goods. The learned Counsel prayed for reduction of fine. This was opposed by the SDR on the ground that the fine imposed by the original authority was very minimum. The fine was only Rs. 30,000/ - and no penalty has been imposed which was less than 10% of the value of the goods, which had been valued at Rs. 3,38,661/ -.